Société des alcools du Québec (SAQ) reports another drop in net profit

The Société des alcools du Québec (SAQ) reported a 3.5 per cent drop in net profit for the third quarter on Thursday compared with the same period a year earlier.

The Crown corporation said that by Dec. 30, its profits totalled $522.7 million, compared with $541.4 million for the same quarter last year.

Meanwhile, sales fell by 0.9 per cent to $1.4 billion, largely due to a decline in the wholesale grocery network. Sales in the branch and specialized centre network remained stable at $1.3 billion.

The SAQ has made no secret of the fact that the “slight decline” seen over the last three quarters could continue, given the economic context.

“The operating results achieved in the third quarter are satisfactory given the economic context. However, they are not sufficient to enable us to achieve our net profit target for the year,” it acknowledged in its third-quarter financial report.

Online sales were up 30 per cent on the same quarter last year and accounted for 4.1 per cent of consumer sales. The SAQ explains this increase by the anticipation of a commercial activity.

The average basket of purchases made by consumers in stores and specialized centres fell from $68.95 to $67.65, a decline of 1.9 per cent.

Sales of Quebec products in the third quarter totalled $195.3 million, representing 15.1 per cent of sales in the branch and specialized centre network, down 2.2 per cent year-on-year.

-This report by La Presse Canadienne was translated by CityNews.